The materials price variance help: In july, a company produced 3,000 units of product. The standard cost card indicates the following materials standards per unit of output: 2 pounds @ $0.50 = $1. During July, 8,000 pounds of material were purchased at a cost of $3,900. The materials price variance for July is:

a) $100 F; b) $100 U; c) $4,100 F; d) $4,100 U.

Price variance = (AQ x AP) - (AQ x SP)

= ($3,900) - (8,000 x $0.50)

= $100 F

Here is the solution to the problem, but I'm still confused on wheter the result

is Favorable (F) or Unfavorable (U)

Here, the answer is 100 F(favorable) but can anyone explain to me how

I can find out if it's favourable or unfavourable? which data do I compare?